Governments of Canada and Newfoundland and Labrador Invest Over $16M for New Affordable Housing Projects

ST. JOHN'S, NEWFOUNDLAND AND LABRADOR--(Marketwire - Oct. 15, 2010) - The Honourable Fabian Manning, Senator for Newfoundland and Labrador, on behalf of the Honourable Diane Finley, Minister of Human Resources and Skills Development and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC), and the Honourable Tom Hedderson, Minister of Transportation and Works and Minister Responsible for the Newfoundland and Labrador Housing Corporation, today announced over $16 million in support for 30 new affordable housing projects.

These projects are providing a total of 270 new units throughout Newfoundland and Labrador for low-income seniors, individuals, families and persons with disabilities.

Funding for most of these projects has been made available through Canada's Economic Action Plan and the Affordable Housing Initiative (AHI). The Federal and Provincial Governments are contributing equally to an overall investment of $69 million under the amended 2009 Canada-Newfoundland and Labrador Affordable Housing Program Agreement.

The Community Mental Health Initiative (CMHI) in Corner Brook and Marguerite's Place in St. John's each received $200,000 from Newfoundland Labrador Housing's Provincial Homelessness Fund, while Golden Legion Manor in Gander received $150,000 under the same fund. Further, Service Canada provided $245,000 to CMHI and $322,500 to Marguerite's Place under its Homelessness Partnering Strategy. Six of the 30 projects also received in total $86,000 in Seed Funding through CMHC to assist during the initial project planning stages.

"Through Canada's Economic Action Plan, our Government is providing a hand-up to those who need it most here in Newfoundland and Labrador and in all corners of the country," said Senator Manning. "These investments help create new jobs and stimulate the local economy, while providing more access to safe, affordable homes for seniors and people with disabilities."

"The Williams Government's total contribution of $8.4 million to these projects strengthens our commitment to partnering with private sector developers and non-profit groups," said Minister Hedderson. "This has proven to be an excellent way to provide more quality and safe affordable housing for those in need. In addition to benefiting the low-income seniors, families and persons with disabilities who will call these new units their home, these projects also benefit our local construction, service and retail industries and help build a stronger economy."

Canada's Economic Action Plan provides $475 million, over two years, to build new rental housing for low-income seniors and persons with disabilities. Overall, the Economic Action Plan includes $2 billion for the construction of new and the renovation of existing social housing, plus up to $2 billion in low-cost loans to municipalities for housing-related infrastructure.

A key AHI program objective for the Provincial Government is to stimulate the development of affordable rental housing in the private, public and non-for profit sectors. Provincial priority is on rental housing for seniors, persons with disabilities and those who require supports to live independently in the community.

As part of Budget 2010: The Right Investments – For Our Children and Our Future, the Provincial Government is investing $27 million for housing infrastructure projects, affordable housing and increased maintenance funding over this fiscal year.

"This is an incredible day for women in our community," said Charmaine Davidge, Executive Director, St. John's Status of Women Council and Women's Centre, which is the proponent of Marguerite's Place. "We could not have done it without the generous support of the federal and provincial affordable housing funding and our many partners and supporters in the community."

This work is also in keeping with the goals of the Provincial Government's Social Housing Plan for Newfoundland and Labrador – Secure Foundations. The plan outlines a new long-term vision for social housing aimed at increasing rental options for lower-income households and the supply of accessible housing, all helping to create healthier communities. A copy of the social housing plan is available at www.nlhc.nl.ca/SocialHsingPlan/report.pdf.

Canada's Economic Action Plan builds on the Government of Canada's commitment in 2008 of more than $1.9 billion, over five years, to improve and build new affordable housing and help the homeless.

More information on this and other measures in Canada's Economic Action Plan, the federal government's plan to stimulate the economy and protect those hit hardest by the global recession, can be found at: www.actionplan.gc.ca.

To find out more about how the Government of Canada and CMHC are working to build stronger homes and communities for all Canadians, call CMHC at 1-800-668-2642 or visit www.cmhc.ca/housingactionplan.